Three Indian fertilizer companies — IPL, KRIBHCO and Coromandel — have signed agreements with Ma’aden, the Saudi Arabian major, for importing 3.1 million metric tonnes of Diammonium Phosphate (DAP) per annum for five years from 2025–26.
The agreements were signed during Chemicals and Fertilizers Minister JP Nadda’s visit to Dammam and Riyadh between July 11 and 13.
Saudi Arabia is a major source of India’s fertilizer imports, and Ma’aden is a leading producer.
In 2024–25, India imported 19.05 LMT of DAP from the kingdom, a 17 per cent increase over 16.29 LMT during 2023–24.
“With the signing of these long-term agreements for DAP, the supply of DAP will enhance to 30 LMT from FY 2025–26 onwards,” said an official statement.
According to officials, Nadda’s visit to Saudi Arabia focused on enhancing bilateral cooperation in the field of chemicals and fertilizers. He led a delegation that included the secretary and other senior officials from the Department of Fertilizers and Ministry of External Affairs.
On the last day of his visit, Nadda held discussions with the Saudi Minister of Industry and Mineral Resources, Bandar bin Ibrahim Al Khorayef, in Riyadh on mechanisms to strengthen partnerships in the fertilizer, petrochemical and pharmaceutical sectors.
“The two Ministers also witnessed the signing of Long-Term Agreements between Ma’aden and Indian companies—viz. IPL, KRIBHCO and Coromandel Fertilizers & Chemicals Co.—for supply of 3.1 million MT of DAP fertilizer per annum for five years from 2025–26 onwards, with further extension of five years with mutual consent,” said a statement.
“Both sides underscored their commitment to broadening the scope of bilateral relations to include other key fertilizers such as Urea along with DAP and NPKS, aiming to further ensure India’s fertilizer security. Discussions were also held on facilitating mutual investments, with a focus on exploring opportunities for Indian Public Sector Undertakings (PSUs) to invest in the Saudi fertilizer sector, and reciprocally, Saudi investments in India,” the statement said.
“Additionally, the leaders deliberated on avenues for collaborative research, especially in developing India-specific customised and alternative fertilizers to enhance agricultural productivity and sustainability. In addition, a joint team has been set up, led by the Secretary (Fertilizer) on the Indian side and the Vice Minister for Mining Affairs in the Ministry of Industry and Mineral Resources on the Saudi side, to explore long-term collaboration in this sector,” it added.
During his visit, Nadda also held a bilateral meeting with Prince Abdulaziz bin Salman Al Saud, Minister of Energy, Kingdom of Saudi Arabia and co-chair of the Economy and Investment Committee of the Strategic Partnership Council between India and Saudi Arabia, on ways to enhance the economic partnership between the two countries. The Prince also hosted a lunch in honour of Nadda.
Nadda also met Abdulaziz Al-Rumaih, Saudi Vice Minister of Health in Riyadh on July 13.
“They discussed ways to enhance cooperation in the medical sector, health services, pharmaceuticals, digital health solutions, and knowledge exchange,” said the statement.
In this context, they noted the significance of the bilateral MoU on Health signed during the recent State Visit of Prime Minister Narendra Modi to Saudi Arabia.
Nadda “highly” appreciated Saudi Arabia’s support to Indian pilgrims during Haj 2025 and discussed medical arrangements for the forthcoming Haj 2026, as per the statement.
On the second day (July 12) of his visit, Nadda, along with the accompanying delegation, visited Ma’aden facilities at Ras Al Khair and had a tour of the phosphate production plant.
“They were received by Mr. Hassan Al Ali, Chairman, Ma’aden Phosphate, and other senior officials of Ma’aden,” the statement said.
On the first day (July 11) of Nadda’s visit, the Chairman of the Saudi-India Business Council, Abdulaziz bin Abdul Hadi Al Qahtani, hosted a dinner in honour of the Minister of Chemicals & Fertilizers in Dammam in the presence of the business community from the Eastern Province of Saudi Arabia.
Nadda’s visit highlighted the strong economic ties between India and the Kingdom of Saudi Arabia, particularly in the area of fertilizers, as per sources.
“The visit secured important commitments for the long-term supply of fertilizers from Saudi Arabia to India,” it said. (Indian Express)